ASA Central Network

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  • 1.  State taxes

    Posted 04-14-2021 11:06
    Hello! Our staffing agency is located in NJ and we place people in NY.  Their checks come from our agency.  Are they responsible for NY and NJ taxes?  What about remote workers that live and "work" in NY under our NJ based agency?

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    Jessica Flores
    Recruiting Manager
    1st Stop Staffing
    Englewood Cliffs NJ
    (646) 523-6523
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  • 2.  RE: State taxes

    Posted 04-14-2021 12:31
    Hi Jessica. This is best directed to your legal counsel or your payroll support (ATS provider or third party) company. I know that generally state taxes are based on where the work is being performed (client location). With some states, however, there are reciprocal agreements that need to be followed. I also know that there have been a number of changes made to taxation (guidance due to COVID) that have temporarily changed some of the rules and requirements. Finally, remote work arrangements have complicated this issue even further.

    So you can see that this is complicated and requires professional guidance.

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    Jay Mattern
    CEO
    TerraFirma Marketing
    South Bend IN
    (574) 213-3855
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  • 3.  RE: State taxes

    Posted 04-15-2021 07:37

    Hi Jessica, I have contract workers in 4 states and we take taxes out on the physical location that the work is preformed! It does get complicated in different states, so I recommend having your payroll department or your accountant advise you in the right direction!

    Here is a great article that sums it up very well! 
    https://www.shrm.org/ResourcesAndTools/hr-topics/compensation/Pages/out-of-state-remote-work-creates-tax-headaches.aspx 



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    Richard Rosner
    Founder-Job Agent
    Staffing Shark
    Lemont Furnace PA
    (724) 880-6760
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  • 4.  RE: State taxes

    Posted 04-15-2021 08:36
    Jessica - this is common with residents of both NY and NJ.  I would recommend you talk to Mike Napolitano from Citrin Cooperman in Livingston.  They are a CPA Firm that has a strong presence in Staffing along with being in your NY/NJ marketplace.  Here is Mike's contact information, I am sure he will take a call to assist you:

    Michael Napolitano, CPA
    Citrin Cooperman
    mnapolitano@citrincooperman.com
    973-376-0161


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    Michael Bartels
    Chief Development Officer
    Becker LLC
    New York NY
    (973) 251-8905
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